Category: Managed Print Services

Lexmark International Set to Acquire Kofax Ltd

Anne Valaitis
Mar 25, 2015

 

 

In what seems to be shaping up as an exciting year in document and information technology, late yesterday it was announced that Lexmark International would seek to acquire Kofax Ltd for approximately $11 a share, or $1 billion. Upon news of the agreement, Kofax shares spiked 36%.  This is most certainly a disruptive move by Lexington, Kentucky-based Lexmark, and it positions them to be a “powerhouse” in intelligent capture and document processing while adding sophisticated platform capabilities for BPM.

Lexmark’s most recent acquisitions:

 

Lexmark’s acquisition spree kicked off in 2010, when the company acquired Kansas-based Perceptive Software (for a reported $280 million) with the goal of transitioning from a hardware-centric vendor to a solutions provider. Perceptive Software was a major provider of ECM software and solutions with specific strength in the higher education, healthcare and government sectors and its Image Now software platform offers a broad range of workflow solutions.

The marriage offered clear synergies for growth at a time when Lexmark’s revenue had slumped following the decline of the inkjet market.  Lexmark’s subsequent exit from the inkjet business reaffirmed the importance of new revenues streams. Lexmark, with its global infrastructure of direct & indirect channel for printing hardware, was an excellent fit for Perceptive with its advanced software solutions and vertical expertise. Both came from positions of strength in the medium sized business sector reaching up to the enterprise.

 

 

 

Irvine California-based Kofax provides a diverse set of software and platform solutions for information intensive customer interactions.  With $297 million in revenues reported in 2014, the company has direct sales operations in 30 countries and 850 channel partners working in 70 countries. Kofax has also made strategic acquisition investments in recent years.  In February 2013, Kofax acquired Altosoft to add business intelligence and analytics, then shortly after in July they acquired Kapow for data analytics. In September 2014, Kofax further strengthened its capabilities by obtaining Softpro GmbH for e-signature and fraud detection.
The combination of solutions from Lexmark (with Perceptive) and Kofax for sophisticated capture, intelligent routing, data mining/analytics and other key business processes creates a very strong and comprehensive portfolio.

“The acquisition of Kofax enhances our best-in-class offerings so our customers can capture, manage, access, and act upon their information more efficiently, and extends Lexmark into the high-growth smart process applications market,” said Paul Rooke, Lexmark chairman and chief executive officer. “Our customers will have a breadth of hardware and software solutions that connect their information silos and automate their business processes – enabling them to access the most relevant information at the moment they need it to drive business forward”.

“We believe joining forces with Lexmark benefits our customers, partners, employees and shareholders and the merger will build on Kofax’s rich history of continuous innovation,” said Reynolds C. Bish, chief executive officer, Kofax. “Our market-leading ability to simplify and transform the First Mile™ of customer engagement is a strong complement to Perceptive Software’s strength in managing information across silos. As a result, we’re excited about the future and working together to realize the full potential of this opportunity to the benefit of all stakeholders.”

 

The Kofax acquisition reflects Lexmark’s ever-growing emphasis on software (including enterprise content management, business process management, document output management, search, intelligent capture software, vertical-oriented solutions); other high value offerings like laser products and MPS; and creating synergies among all three. The Kofax pickup also provides Lexmark with strong end to end vertical industry solutions such as financial services, insurance and healthcare, thus providing a foothold in the entire document lifecycle.     This is a significant move for Lexmark into software, considering a short time ago they were primarily print focused. This industry will continue to change and transform rapidly away from printed pages, and towards flexible, sophisticated solutions designed to solve business problems.

 

CSA Rebrands Business Services Division, Promises Focus on New Vertical Markets and Strengthened Core

Brendan Morse and Allison Correia
Feb 12, 2015

 

At its Second Anniversary Event, Canon Solutions America (CSA)unveiled the name change of its Business Services Division to Enterprise Managed Services Division (EMS). VP of Enterprise Services and Solutions, John Reilly, and VP of Managed Services, Valerie Belli, gave the presentation detailing the rebranded division.

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Epson Pushes Business Ink Further into the MPS World

Other Posts
Feb 3, 2015

 

Epson America, Inc. (www.epson.com) has announced a new partnership that could shake things up a bit in the world of Managed Print Services. Read more »

Ricoh Helps Customers See Through the Cloud

Other Posts
Jan 29, 2015

So much has been written about the Cloud in recent years that it has begun to take on different meanings that are dependent upon the audience. To some, it’s an irreplaceable tool that makes life easier; to others, it’s a modern but somewhat mysterious form of technology; to still others, it’s simply confusing. Read more »

Big Data Trend Continues with New Pharos Solution

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Jun 4, 2014

Bea·con (noun)

: a strong light that can be seen from far away and that is used to help guide ships, airplanes, etc.

: someone or something (such as a country) that guides or gives hope to others.

This term is fitting for Pharos’s next generation of Mindful Print Solutions (its new definition of MPS). InfoTrends recently spoke with Pharos President Keith Nickoloff, CEO Kevin Pickhardt, and CTO Fred Schempp to discuss the release of this new offering. Pharos sees this product as “the next evolution” of its user-driven strategy. Mr. Nickoloff continued to emphasize that “devices don’t print, people do.” Looking at printing from that perspective, it starts to make sense how an analytics-based solution like Beacon can help organizations make smarter and more cost-effective printing decisions. Like a beacon, the solution can help guide users on a new path.

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Canon Looks to Maintain Base with Eye Towards the Future – Dex Imaging Opening Canon Only Branches?

David Ramos
Dec 12, 2013

I could have very well titled this “Industry Consolidation and the Ripple Effects” given the nature of the chess match being played out between two industry titans. Canon in one corner, looking to regain momentum (Canon’s loss of market share has been well documented with acquisitions of IKON Office Solutions to Ricoh – $1.62 billion, Global Imaging Solutions to Xerox – $1.5 billion and Danka to Konica Minolta – $240 million, couple this with the mixed result of their CBS Direct Operations the impact is measurable and the desire to win it back is understandable) and in the other corner, Konica Minolta, the current King of the independent dealer community.  Ask an independent dealer owner about what they like about partnering with Konica Minolta and why they have made such a surge in revenue and units, and the first answer is Rick Taylor and his leadership, what follows next from their mouths varies but it is typically like an evangelist giving testimony at a revival.

For those that do not know, Dex Imaging is one of the largest independent dealers in the United States with annual revenues approaching $150M (it’s probably safe to say will have superseded that mark by the close of 2013).  Their plan is to reach $250 million in annual revenue by 2016 and they have 26 locations in Florida, Tennessee, Maryland, Alabama and Mississippi.  They made two acquisitions in the Florida market, both announced in May of this year.  In the May press release announcing the acquisitions, Dex Imaging called itself the single largest- and fastest-growing independent dealer of Konica Minolta and Kyocera document imaging equipment in the U.S.

Dex Imaging Acquisitions 2013

1. TonerType, LLC
2. U.S. Imaging Solutions

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Konica Minolta Makes a Move and Continues with Acquisitions as a Business Strategy

David Ramos
Dec 10, 2013

Konica Minolta Business Solutions U.S.A., Inc. today announced that it has acquired CopySource Inc., a business solutions dealership headquartered in Coral Springs, Fla., to increase Konica Minolta’s reach in the southeast Florida.

In addition to today’s announcement, Florida has been a hotbed of acquisitions in the past 24 months from OEMs, Independent Dealers and IT firms all positioning for growth.

InfoTrends Channel Strategy Service Data

State of Florida Acquisitions - Click to Enlarge Image

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